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Title II — Phase out of special certificates under section 14(c) of the Fair Labor Standards Act of 1938

S. 533 · 118th Congress · Feb 27, 2023 · Lineage

II Phase out of special certificates under section 14(c) of the Fair Labor Standards Act of 1938

Sec. 201 Transition to fair wages for people with disabilities

(a)
In general— Subparagraph (A) of section 14(c)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 214(c)(1)) is amended to read as follows:

“(A) at a rate that equals, or exceeds, the greater of—

“(i)

“(I) 60 percent of the wage rate in effect under section 6(a)(1), beginning on the effective date described in section 201(b) of the Transformation to Competitive Integrated Employment Act;

“(II) 70 percent of the wage rate in effect under section 6(a)(1), beginning 2 years after the date of enactment of such Act;

“(III) 80 percent of the wage rate in effect under section 6(a)(1), beginning 3 years after such date of enactment;

“(IV) 90 percent of the wage rate in effect under section 6(a)(1), beginning 4 years after such date of enactment; and

“(V) the wage rate in effect under section 6(a)(1), beginning 5 years after such date of enactment; or

“(ii) the wage rate in effect on the day before the date of enactment of the Transformation to Competitive Integrated Employment Act for the employment, under a special certificate issued under this paragraph, of the individual for whom the wage rate is determined under this paragraph;”

(b)
Effective date— The amendment made by subsection (a) shall take effect on the date that is 90 days after the date of enactment of this Act.

Sec. 202 Prohibition on new special certificates; sunset

Section 14(c) of the Fair Labor Standards Act of 1938 (29 U.S.C. 214(c)) (as amended by section 201), is further amended by adding at the end the following:

“(6) Prohibition on new special certificates—Notwithstanding paragraph (1), the Secretary shall not issue a special certificate under this subsection to an employer that was not issued a special certificate under this subsection before the date of enactment of the Transformation to Competitive Integrated Employment Act.

“(7) Sunset—Beginning on the day after the date that is 5 years after the date of enactment of the Transformation to Competitive Integrated Employment Act—

“(A) the authority to issue special certificates under paragraph (1) shall expire; and

“(B) no special certificates issued under paragraph (1) shall have any legal effect.”